BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                  SB 1455|
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                                 THIRD READING


          Bill No:  SB 1455
          Author:   Kehoe (D)
          Amended:  6/1/10
          Vote:     21

           
           SENATE ENERGY, U. & C. COMMITTEE  :  10-0, 4/6/10
          AYES:  Padilla, Dutton, Corbett, Cox, Kehoe, Lowenthal,  
            Oropeza, Simitian, Strickland, Wright
          NO VOTE RECORDED:  Florez

           SENATE TRANSPORTATION & HOUSING COMMITTEE  :  8-0, 4/20/10
          AYES:  Lowenthal, Huff, Ashburn, DeSaulnier, Kehoe,  
            Oropeza, Pavley, Simitian
          NO VOTE RECORDED:  Harman

           SENATE APPROPRIATIONS COMMITTEE  :  10-0, 5/27/10
          AYES:  Kehoe, Alquist, Corbett, Denham, Leno, Price,  
            Walters, Wolk, Wyland, Yee
          NO VOTE RECORDED:  Cox


           SUBJECT  :    Electric vehicles

           SOURCE  :     Author


           DIGEST  :    This bill requires the California Energy  
          Commission, by July 1, 2011, in consultation with the  
          Public Utilities Commission, to develop and maintain an  
          Internet Web site containing specific links to electrical  
          corporation and local publicly owned electric utility  
          Internet Web sites or other Internet Web sites that contain  
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          information specific to plug-in hybrid or fully electric  
          vehicles, including information on the following:  (1)  
          Whether a vehicle will require a utility service upgrade at  
          the consumer's residence, (2) basic charging circuit  
          requirements, (3) utility rate options, and (4) load  
          management techniques.

           ANALYSIS  :    Current law requires the Public Utilities  
          Commission (PUC) to direct the development of an  
          infrastructure sufficient to facilitate the widespread use  
          of plug-in hybrid electric vehicles and full electric  
          vehicles (collectively EVs) and to adopt rules to address  
          infrastructure barriers by July 1, 2011.

           Background  

          According to the California Energy Commission (CEC) there  
          were 14,670 EVs operating in California in 2008 down from  
          an industry high of 23,399 in 2003.  However, an increasing  
          number and variety of EVs are expected to hit the showroom  
          floors of car dealers in the coming months and years.  The  
          CEC expects the number of EVs to grow from 32,756 in 2011  
          to 1.5 million by 2020 and 2.8 million by 2030.  

          A historic number of automakers have already begun or  
          announced deployment of a range of on-road EVs, including  
          light-duty plug-in hybrid EVs, full-size battery EVs, two  
          wheel battery EVs, and three or four wheel low-speed  
          neighborhood EVs beginning this year.

          The state's investor-owned utilities (IOUs) do have tariffs  
          in place for electric cars and have assisted residential  
          customers and fleet managers with the charging  
          infrastructure necessary for the vehicles on a limited  
          basis.  However regulators, the utilities and the electric  
          grid are not ready for the thousands of cars expected.   
          Infrastructure investments and policies at the customer  
          site, commercial site, public charging site, and  
          distribution system level are all required to prepare the  
          electricity system for the widespread use of EVs.

          In response to the marketplace and the directives of SB 626  
          (Kehoe), 2009-10 Session, the PUC has initiated a  
          rulemaking (R.09-08-009) to determine the barriers and  

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          opportunities presented by EVs on the grid.  Issues under  
          consideration include rate design for the charging of EVs,  
          options for development of metering and charging  
          infrastructure, and how to incorporate EV charging with  
          renewable energy supply.

           Comments
          
          Author's intent  . As an increasing number of EVs come to the  
          new car market, the author is concerned about whether the  
          buyers of those vehicles will have the information they  
          need to understand the relationship between a vehicle that  
          needs to be charged at home and the electrical features and  
          safety measures they will need to consider in order to  
          safely and appropriately charge their vehicle.  The author  
          notes that information coming from the manufacturer of an  
          EV will likely be limited to the features and basic  
          charging requirements for that vehicle and not the  
          infrastructure necessary to establish a charging connection  
          for the EV.

           Related legislation  .  SB 1437 (Kehoe) requires the PUC to  
          determine the costs to be borne by each class of ratepayers  
          for the costs of bringing EVs to the grid.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  Yes

          DLW:mw  6/1/10   Senate Floor Analyses 

                       SUPPORT/OPPOSITION:  NONE RECEIVED

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